The FTSE 100 closed down 19.83 at 7,523.04, as markets had a risk-off day due to worries about Spain and the future of the rebellious Catalonia region.

French and German markets both posted losses, and Spain's IBEX 35 was off 1 per cent. The Dow Jones also fell 51.6 to 23,106 - although US traders were more concerned about Apple, and lack of demand for the iPhone 8.

Brent crude was at $57.52 a barrel, and the pound was at $1.32 against the dollar and €1.11 versus the euro.

17:21

City pundits on today's session

Joshua Mahony, market analyst at IG, said: 'European and US markets have been trading in the red today, as the uncertain road ahead for Catalonia has driven traders into safe havens such as gold and the yen.

'Despite gains for gold, the overall picture for industrial commodities has been one of weakness, with the likes of copper and iron ore tumbling despite an improvement in Chinese industrial production overnight.

'Early losses have been partially erased throughout European equities today, after a sharp Catalonia driven selloff was largely pushed aside, with traders seeing the government’s decision to invoke article 155 as a positive for economic and political stability.

'While the potential for further Catalan protest means a degree of uncertainty remains, today’s actions have allayed much of the market fears, driving the euro higher throughout the day.'

Connor Campbell, financial analyst at Spreadex, said: 'There remained a general lack of cheer on the markets this Friday, cemented by a negative open in the US.

'The Dow Jones dropped 90-ish points after the bell, though managed to remain a decent way above 23000.

'A big ol’ chunk of that decline will stem from Apple, which plunged nearly 3 per cent on reports that it would be cutting production of its iPhone 8 due to a lack of demand (the company releases its financial fourth quarter results at the start of November).

'Over in the eurozone the situation was fairly complicated, with it hard to ascertain whether the region’s indices were falling due to the heightening of tensions in Spain or the euro’s seemingly positive reaction to Madrid’s intention to suspend Catalan autonomy on Saturday.'

16:59

FTSE 100 closes down 19.83 at 7,523.04

15:32

Sharp drop on Wall Street, 30 years after Black Monday

Dow Jones down 91.47 points at 23,066.13

The S&P 500 off 9.92 points at 2,551.34

The Nasdaq Composite has lost 50.38 points at 6,573.84

14:49

Latest tweet from Goldman's boss Lloyd Blanflein will be making the City nervous

Goldman Sachs, which employs around 6,500 people in the UK, has previously confirmed that it is looking to at least double its 200-strong employee base in Frankfurt as part of its Brexit contingency plans.

Earlier this month it was reported that the group has signed a contract to lease eight floors of a skyscraper in the city, capable of holding 800 staff.

The bank has said it is also looking at bolstering its footprint in other financial hubs across the EU.

A raft of international banks, insurers and asset managers are preparing to shift portions of their UK operations to the continent in preparation for Britain's divorce from the EU in hopes of safeguarding against the loss of passporting rights which currently give UK-based financial services cross-border access to the bloc.

Frankfurt has emerged as the biggest beneficiary of Brexit so far as London-based financial firms increasingly opt to relocate staff to Germany's financial centre.

Just left Frankfurt. Great meetings, great weather, really enjoyed it. Good, because I'll be spending a lot more time there. #Brexit

IWG shares fell 34 per cent after the workspace provider said full-year profit was expected to fall as sales in the third quarter were weaker than it expected.

Group operating profit is expected to be in the range of £160million to £170million pounds for the full year, the company said, compared with an operating profit of £185.2million pounds a year earlier.

Short-term costs are also expected to rise as the company looks to maintain investment in its national networks, it said.

11:26

Amanda Staveley closes in on Newcastle United

Amanda Staveley, one of the City's leading dealmakers, has mounted a £300million bid to buy Newcastle United that would see her become the new face of the club.

Staveley's investment fund PCP Capital Partners, which is backed by £28billion from the Middle East and China, is understood to be in talks with owner Mike Ashley.

A deal may be done by Christmas and Staveley could pump as much as £300million into manager Rafa Benitez's transfer funds.

Staveley, 44, was a key player in Sheik Mansour's acquisition of Manchester City in 2008 and is known to be keen on football.

The Spanish government will revoke Catalonia's autonomy and take control of the region after its separatist leader refused to withdraw a bid to secede.

President Carles Puigdemont had until this morning to abandon his 'suspended' declaration of independence, but chose instead to threaten the government with a regional parliamentary vote on a formal declaration.

In response, Prime Minister Mariano Rajoy called a special cabinet meeting on Saturday when his government will trigger Article 155 of the Spanish constitution, his office said on Thursday.

In a letter to the Spanish Prime Minister Mariano Rajoy this morning, Puigdemont said that he is standing by his 'suspended' declaration of independence.

He said that Catalonia had never officially declared itself independent, but warned that they would do so if Spain suspended their autonomy.

He added that if Spain still refuses a dialogue with Catalonia, he would call a parliamentary vote on independence by local lawmakers.

'If the central government persists in preventing dialogue and continuing repression, Catalonia's parliament could proceed, if it considers it timely, to vote for a formal declaration of independence that it didn't vote for on October 10,' Carles Puigdemont wrote, after highlighting Madrid's threat to suspend its regional autonomy.

He argued that the people of Catalonia had voted for independence with a clear majority, a 'a higher percentage than that which allowed the United Kingdom to initiate Brexit'.

Neil Wilson at ETX explains: 'Black Monday vibes? European equities fell in lockstep at precisely the time we were due an update on Catalonia’s fight with Madrid over independence.

'It seemed there anxiety rose to a peak with sell orders flooding in as the deadline approached, triggering stops and further selling after it was reached. Broad based selling hit all the main European indices while the euro also lost ground and Spanish bond yields jumped as expected given the impasse.

'The DAX shed more than 100 points in a few minutes - something not entirely unusual but still noteworthy given the timing and the way it was replicated across European bourses. Far from panic mode, there is still - at the moment - a fairly sanguine attitude and the DAX, CAC and even the IBEX are now rallying from the day’s lows.

'Wall Street also plunged out-of-hours to almost fill the gap on yesterday’s open. If it does fill that gap there could be a big drop in store.

'Stakes are rising on this one. Puigdemont says it may be necessary to declare independence, while Rajoy about to use the nuclear option and invoke article 155.

'It looks like the two sides are boxing themselves into a corner and it does appear that a declaration of independence is likely. The spat between Madrid and Catalonia will get worse before it gets better and this ought to keep the pressure on the euro and European equities into next week.'

09:49

Turning into an ugly session across the Continent

09:33

Interserve shares tanking, off more than 30 per cent

Interserve has warned it could breach its financing tests after a further deterioration in trading in its British construction and support services businesses in the third quarter triggered another profit warning.

The company said it now expected operating profit in the second half would be about half the level of last year, and it has also made an additional £35million pound provision for its troubled energy-from-waste contracts.

09:07

FTSE 100 off 42 points - 30th anniversary of Black Monday

Today marks the 30th anniversary of Black Monday, when in October 1987 stock markets around the world experienced a sudden flash crash.

The FTSE 100 fell 11 per cent on the day, and then fell a further 12 per cent the next day, wiping out more than a fifth of the value of the London Stock Exchange in just two trading sessions.

London Stock Exchange boss Xavier Rolet is to stand down by the end of 2018 after nearly a decade at the helm.

The LSE said it is launching the search for his successor and will 'work closely' with Rolet to ensure a 'smooth transition'.

Builders' merchant and Wickes DIY chain owner Travis Perkins has said it jacked up prices to offset soaring costs from the Brexit-hit pound in the third quarter, which helped it boost sales.

The group reported a 4.1 per cent rise in like for like sales in the period, with total sales increasing 3.5 per cent.

Consumer goods giant Unilever has said third quarter sales were hit by hurricanes in the US and poor weather in Europe.

The Anglo-Dutch group, which is behind Dove, Marmite and Ben & Jerry's ice cream, posted a 2.6 per cent increase in underlying sales for the period to £11.8billion, below expectations and down from 3 per cent in the first half of the year.

Rentokil, the pest control and business services company has reported a 13.7 per cent rise in underlying third-quarter revenue to £579.5million.

Casino operator Rank said comparable group revenue for the 16 weeks to October 15 rose 2 per cent on strong online growth.

Asset manager Schroders posted a 9 per cent rise in ‍assets under management and administration for the nine months to September 30 led by gains in its institutional business.

08:43

All eyes on Spain this session, in what could turn into a nasty showdown

Spain’s political showdown with Catalonia is set to reach a new level when political leaders in Madrid and Barcelona are expected to make good on pledges made to their supporters to stick to their tough positions over the region’s future.

In an unprecedented move since Spain returned to democracy in the late 1970s, Prime Minister Mariano Rajoy will impose direct rule in Catalonia unless the region’s leader Carles Puigdemont retracts by 10am an ambiguous declaration of independence he made last week.